LEIDOS HOLDINGS INC (1LDOS.MI) Stock Fundamental Analysis
BIT:1LDOS - Euronext Milan - US5253271028 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to 1LDOS. 1LDOS was compared to 32 industry peers in the Professional Services industry. 1LDOS scores excellent on profitability, but there are some minor concerns on its financial health. 1LDOS is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1LDOS was profitable.
1LDOS had a positive operating cash flow in the past year.
In the past 5 years 1LDOS has always been profitable.
Each year in the past 5 years 1LDOS had a positive operating cash flow.
1.2 Ratios
1LDOS has a better Return On Assets (10.10%) than 87.50% of its industry peers.
Looking at the Return On Equity, with a value of 31.31%, 1LDOS belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 12.06%, 1LDOS is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
1LDOS had an Average Return On Invested Capital over the past 3 years of 9.60%. This is in line with the industry average of 11.28%.
The last Return On Invested Capital (12.06%) for 1LDOS is above the 3 year average (9.60%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.1% | ||
| ROE | 31.31% | ||
| ROIC | 12.06% |
ROA(3y)5.46%
ROA(5y)5.42%
ROE(3y)16.36%
ROE(5y)16.58%
ROIC(3y)9.6%
ROIC(5y)8.62%
1.3 Margins
1LDOS's Profit Margin of 7.87% is fine compared to the rest of the industry. 1LDOS outperforms 71.88% of its industry peers.
In the last couple of years the Profit Margin of 1LDOS has grown nicely.
With a decent Operating Margin value of 11.40%, 1LDOS is doing good in the industry, outperforming 71.88% of the companies in the same industry.
1LDOS's Operating Margin has improved in the last couple of years.
1LDOS's Gross Margin of 17.23% is on the low side compared to the rest of the industry. 1LDOS is outperformed by 78.13% of its industry peers.
1LDOS's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.4% | ||
| PM (TTM) | 7.87% | ||
| GM | 17.23% |
OM growth 3Y8.76%
OM growth 5Y6.1%
PM growth 3Y11.14%
PM growth 5Y4.59%
GM growth 3Y4.63%
GM growth 5Y3.77%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1LDOS is still creating some value.
Compared to 1 year ago, 1LDOS has less shares outstanding
Compared to 5 years ago, 1LDOS has less shares outstanding
The debt/assets ratio for 1LDOS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.72 indicates that 1LDOS is not in any danger for bankruptcy at the moment.
1LDOS has a better Altman-Z score (3.72) than 81.25% of its industry peers.
The Debt to FCF ratio of 1LDOS is 4.16, which is a neutral value as it means it would take 1LDOS, 4.16 years of fcf income to pay off all of its debts.
1LDOS has a Debt to FCF ratio of 4.16. This is comparable to the rest of the industry: 1LDOS outperforms 56.25% of its industry peers.
1LDOS has a Debt/Equity ratio of 1.18. This is a high value indicating a heavy dependency on external financing.
1LDOS has a worse Debt to Equity ratio (1.18) than 65.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 4.16 | ||
| Altman-Z | 3.72 |
ROIC/WACC1.56
WACC7.71%
2.3 Liquidity
A Current Ratio of 1.54 indicates that 1LDOS should not have too much problems paying its short term obligations.
1LDOS has a Current ratio of 1.54. This is amongst the best in the industry. 1LDOS outperforms 87.50% of its industry peers.
A Quick Ratio of 1.42 indicates that 1LDOS should not have too much problems paying its short term obligations.
1LDOS's Quick ratio of 1.42 is amongst the best of the industry. 1LDOS outperforms 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.42 |
3. Growth
3.1 Past
1LDOS shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 34.40%, which is quite impressive.
Measured over the past years, 1LDOS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 14.65% on average per year.
1LDOS shows a small growth in Revenue. In the last year, the Revenue has grown by 7.75%.
Measured over the past years, 1LDOS shows a quite strong growth in Revenue. The Revenue has been growing by 8.47% on average per year.
EPS 1Y (TTM)34.4%
EPS 3Y15.63%
EPS 5Y14.65%
EPS Q2Q%29.69%
Revenue 1Y (TTM)7.75%
Revenue growth 3Y6.65%
Revenue growth 5Y8.47%
Sales Q2Q%6.79%
3.2 Future
1LDOS is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 7.36% yearly.
1LDOS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.63% yearly.
EPS Next Y8.68%
EPS Next 2Y7.5%
EPS Next 3Y7.36%
EPS Next 5YN/A
Revenue Next Year4.46%
Revenue Next 2Y3.89%
Revenue Next 3Y3.63%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 15.01, the valuation of 1LDOS can be described as correct.
Based on the Price/Earnings ratio, 1LDOS is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
1LDOS's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.48.
A Price/Forward Earnings ratio of 13.85 indicates a correct valuation of 1LDOS.
Based on the Price/Forward Earnings ratio, 1LDOS is valued a bit cheaper than 65.63% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of 1LDOS to the average of the S&P500 Index (34.04), we can say 1LDOS is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.01 | ||
| Fwd PE | 13.85 |
4.2 Price Multiples
1LDOS's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1LDOS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.08 | ||
| EV/EBITDA | 11.42 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The excellent profitability rating of 1LDOS may justify a higher PE ratio.
PEG (NY)1.73
PEG (5Y)1.02
EPS Next 2Y7.5%
EPS Next 3Y7.36%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.00%, 1LDOS has a reasonable but not impressive dividend return.
1LDOS's Dividend Yield is slightly below the industry average, which is at 2.89.
With a Dividend Yield of 1.00, 1LDOS pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1% |
5.2 History
The dividend of 1LDOS has a limited annual growth rate of 2.96%.
Dividend Growth(5Y)2.96%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1LDOS pays out 15.60% of its income as dividend. This is a sustainable payout ratio.
1LDOS's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP15.6%
EPS Next 2Y7.5%
EPS Next 3Y7.36%
BIT:1LDOS (7/30/2025, 7:00:00 PM)
140.5
+0.7 (+0.5%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCommercial & Professional Services
GICS IndustryProfessional Services
Earnings (Last)
Earnings (Next)
Inst Owners80.44%
Inst Owner ChangeN/A
Ins Owners0.49%
Ins Owner ChangeN/A
Market Cap18.09B
Analysts76.52
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1% |
Yearly Dividend1.29
Dividend Growth(5Y)2.96%
DP15.6%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.36%
Min EPS beat(2)2.22%
Max EPS beat(2)16.5%
EPS beat(4)4
Avg EPS beat(4)18.63%
Min EPS beat(4)2.22%
Max EPS beat(4)42.23%
EPS beat(8)8
Avg EPS beat(8)18.81%
EPS beat(12)9
Avg EPS beat(12)12.63%
EPS beat(16)11
Avg EPS beat(16)9.6%
Revenue beat(2)2
Avg Revenue beat(2)2.5%
Min Revenue beat(2)1.46%
Max Revenue beat(2)3.53%
Revenue beat(4)3
Avg Revenue beat(4)1.43%
Min Revenue beat(4)-0.29%
Max Revenue beat(4)3.53%
Revenue beat(8)7
Avg Revenue beat(8)1.65%
Revenue beat(12)8
Avg Revenue beat(12)1.02%
Revenue beat(16)10
Avg Revenue beat(16)0.37%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.01 | ||
| Fwd PE | 13.85 | ||
| P/S | 1.24 | ||
| P/FCF | 17.08 | ||
| P/OCF | 15.18 | ||
| P/B | 4.95 | ||
| P/tB | N/A | ||
| EV/EBITDA | 11.42 |
EPS(TTM)9.36
EY6.66%
EPS(NY)10.14
Fwd EY7.22%
FCF(TTM)8.23
FCFY5.86%
OCF(TTM)9.25
OCFY6.59%
SpS112.98
BVpS28.4
TBVpS-15.55
PEG (NY)1.73
PEG (5Y)1.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 10.1% | ||
| ROE | 31.31% | ||
| ROCE | 18.86% | ||
| ROIC | 12.06% | ||
| ROICexc | 13.14% | ||
| ROICexgc | 43.98% | ||
| OM | 11.4% | ||
| PM (TTM) | 7.87% | ||
| GM | 17.23% | ||
| FCFM | 7.28% |
ROA(3y)5.46%
ROA(5y)5.42%
ROE(3y)16.36%
ROE(5y)16.58%
ROIC(3y)9.6%
ROIC(5y)8.62%
ROICexc(3y)10.47%
ROICexc(5y)9.34%
ROICexgc(3y)58.39%
ROICexgc(5y)54.32%
ROCE(3y)15.01%
ROCE(5y)13.48%
ROICexcg growth 3Y4.26%
ROICexcg growth 5Y-0.43%
ROICexc growth 3Y19.51%
ROICexc growth 5Y8.6%
OM growth 3Y8.76%
OM growth 5Y6.1%
PM growth 3Y11.14%
PM growth 5Y4.59%
GM growth 3Y4.63%
GM growth 5Y3.77%
F-Score8
Asset Turnover1.28
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.18 | ||
| Debt/FCF | 4.16 | ||
| Debt/EBITDA | 2.26 | ||
| Cap/Depr | 53.1% | ||
| Cap/Sales | 0.91% | ||
| Interest Coverage | 8.94 | ||
| Cash Conversion | 62.48% | ||
| Profit Quality | 92.5% | ||
| Current Ratio | 1.54 | ||
| Quick Ratio | 1.42 | ||
| Altman-Z | 3.72 |
F-Score8
WACC7.71%
ROIC/WACC1.56
Cap/Depr(3y)50.89%
Cap/Depr(5y)49.91%
Cap/Sales(3y)1.04%
Cap/Sales(5y)1.08%
Profit Quality(3y)235.51%
Profit Quality(5y)202.58%
High Growth Momentum
Growth
EPS 1Y (TTM)34.4%
EPS 3Y15.63%
EPS 5Y14.65%
EPS Q2Q%29.69%
EPS Next Y8.68%
EPS Next 2Y7.5%
EPS Next 3Y7.36%
EPS Next 5YN/A
Revenue 1Y (TTM)7.75%
Revenue growth 3Y6.65%
Revenue growth 5Y8.47%
Sales Q2Q%6.79%
Revenue Next Year4.46%
Revenue Next 2Y3.89%
Revenue Next 3Y3.63%
Revenue Next 5YN/A
EBIT growth 1Y32.92%
EBIT growth 3Y15.99%
EBIT growth 5Y15.09%
EBIT Next Year14.29%
EBIT Next 3Y7.22%
EBIT Next 5YN/A
FCF growth 1Y88.24%
FCF growth 3Y10.27%
FCF growth 5Y7.37%
OCF growth 1Y74.47%
OCF growth 3Y10.52%
OCF growth 5Y7.01%